Global Citizenship Report
“We try every single day to help people move from where they are to where they want to be. We have – and we always will – believe in better.” - Amway Chairman Steve Van Andel and Amway President Doug DeVos
Contents 2
Meet Our Leaders
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Who We Are
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What Matters Most
8 Ethics
12 Communities
34 Employees
40 Environment
52 Global Recognition
Steve Van Andel Chairman
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Leadership Message
Doug DeVos President
Meet Our Leaders The Amway story begins with our fathers who, as business partners, shared a belief that with encouragement and hard work anyone can move to a better place. This belief is articulated through the Amway vision of helping people live better lives. Our vision dictates how we do business and drives our behaviors around our employees, customers and neighbors in communities throughout the world. Today, the Amway commitment to corporate citizenship remains constant. Whether it is countries that need help recovering from devastating disasters or Amway employees lending their time and talent to worthy causes – being mindful of the people around us has always been front and center in all that we do. The Amway™ One by One Campaign for Children helped 1.5 million youth last year and more than 9.5 million since the program launched in 2003. In 2011 alone, our distributors and employees logged 200,000 volunteer hours for charitable organizations all over the world. And Amway played an important role in helping the people of Japan in the aftermath of the historical earthquake and tsunami. These are examples that represent the immense compassion Amway and our employees and distributors have always expressed toward others around the world. It’s how Rich and Jay’s intent to make a difference in people’s lives is continually brought to life. When it comes to our commitment to corporate citizenship, we try every single day to help people move from where they are to where they want to be. We have – and we always will – believe in better.
Meet Our Leaders
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Who We Are Corporate Citizen, Passionate People Innovator, manufacturer, champion of free enterprise – Amway is a $10.9 billion global enterprise and one of the world’s largest direct selling businesses. Our business opportunity and products make people’s lives better and our people make the planet a better place.
The Founding Families of Amway Friends and fellow entrepreneurs Rich DeVos and Jay Van Andel founded Amway as a low-cost business opportunity, combining well-designed, high-quality products with an innovative direct-selling business model rooted in relationships. Over the past 52 years, Amway has grown to become a powerful global enterprise. Our founding families still own Amway today. Doug DeVos is President and Steve Van Andel is Chairman, and both continue their fathers’ legacy of active leadership, serving as prominent members of leading business and industry organizations.
Amway World Headquarters, Ada, Michigan
From our World Headquarters in Ada, Michigan to the far corners of the world, Amway is a global company that cares about communities. And it’s been that way since 1959. Today, our reach spans more than 80 countries and territories, connecting people around the world with life-changing business opportunities and compelling brands like NUTRILITE™ vitamin, mineral and dietary supplements; ARTISTRY™ skincare and colour cosmetics; and eSpring™ water treatment systems. Amway is a values-based employer of choice with a workforce of 20,000 and a distributor network more than three million strong. From continent to continent, our employees and distributors are inspired by the Amway vision of helping people live better lives. It’s our purpose, and we pursue it with passion.
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Who We Are
Amway Founders – Rich DeVos and Jay Van Andel
TM
Our Brands Do Wonders Worldwide Our product portfolio shines with more than 450 distinctive nutrition, beauty and home care products that carry the Amway™ name. From concept to creation, quality and environmental stewardship are built into every Amway product. We use only the best ingredients in our products, and we take all steps necessary to guarantee customer safety and satisfaction, starting with a 100 percent satisfaction guarantee. Nutrilite is the world’s number-one selling vitamin and dietary supplement brand. 1 ARTISTRY is among the world’s top five, largest-selling premium skincare brands. 2 eSpring is the world’s largest-selling brand of point-of-use water systems. 3 1 Source: Euromonitor International Limited; 2010 retail sales. 2 Source: Euromonitor International Limited; Beauty and Personal Care 2011. Premium Cosmetics and Premium Skincare category and subcategory; global 2010 value RSP. 3 Source: Verify Markets study of 2009 global sales.
Amway operates in more than 80 countries and territories. Our four regions are The Americas (North America/Latin America), Greater China (China/Hong Kong/Taiwan), Asia Pacific (Japan/Southeast Asia/Korea/ Australia/New Zealand) and Europe/India/ Southern Africa. We Empower Entrepreneurs Amway has a 52-year history of advocating free enterprise and celebrating entrepreneurship. We empower individual economic and personal freedom with a business opportunity that resonates across continents and cultures. Since 1959 Amway has paid out more bonuses and cash incentives to its distributors than any other direct selling company in history.4 In collaboration with our dedicated distributors, we share a global consciousness for creating positive change in people’s lives around the world. 4 Source: Euromonitor International Limited; this claim is expressed in value terms for the time period 1959 to 2009. Primary and secondary research derived individual company sales and bonus and cash incentive payouts, and then a tiered filtering methodology was implemented to remove all competitors to Alticor, validating the claim.
Who We Are
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What Matters Most Guided by Vision, United in Purpose Helping people live better lives. It’s the Amway vision, and it inspires everything we do, every day. It guides our strategic choices, drives our innovation and compels us toward a purposeful global consciousness: to create positive change in people’s lives around the world.
Amway Values Partnership Amway is built on the concept of partnership – and it’s been that way since the beginning. The partnership among the founding families, employees and distributors is our most prized possession. We always try to do what is in the long-term best interest of our partners, in a manner that increases trust and confidence. The success of Amway will reward all who have contributed to its success. Integrity Integrity is essential to our business success. We do what is right, not just whatever works. Amway success is measured not only in economic terms, but by the respect, trust and credibility we earn.
Achievement We are builders and encouragers. We strive for excellence in all we do. Our focus is on continuous improvement, progress and achievement of individual and group goals. We anticipate change, respond swiftly to it, take action to get the job done and gain from our experiences. We encourage creativity and innovation. Personal Responsibility Each individual is responsible and accountable for achieving personal goals, as well as giving 100 percent effort in helping achieve corporate or team goals. By helping people help themselves, we further the potential for individual and shared success. We also have a responsibility to be good citizens in the communities where we live and work. Free Enterprise We are proud advocates of freedom and free enterprise. Human economic advancement is clearly proven to be best achieved in a free market economy.
Personal Worth We acknowledge the uniqueness created in each individual. Every person is worthy of respect and deserves fair treatment and the opportunity to succeed to the fullest extent of his or her potential.
Amway employees at our World Headquarters
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What Matters Most
Citizenship Vision When we say we are a company built on values, we mean it. Our Founders’ Fundamentals are embedded, literally, in stone in front of our World Headquarters in Ada, Michigan. These fundamental principles, along with our corporate values and vision, provide a solid foundation for all of our business operations, from our dealings with our distributors to the leadership positions our executives hold within their communities. Freedom Personal opportunity and economic opportunity go hand in hand. With Amway, you have the freedom to change your life by owning your own business.
By positively changing the way people live through our business, business opportunity, and Amway TM products and services, we collectively improve the world around us. To sustainably grow as a global corporate citizen, we will continue to fulfill the Amway vision of helping people live better lives by caring for our communities, our employees and our planet. This Global Citizenship Report demonstrates just how.
Family We all need family to cheer us on. We are all members of the global Amway family – we respect and take care of each other to foster success.
Hope Inspiring you to dream bigger. Amway creates an environment where hope can thrive. Reward Happiness is best achieved through earned success. Amway rewards what you achieve, and also what you help others achieve.
Amway employees at our World Headquarters
What Matters Most
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Ethics
Ethics Integrity, Always Partnership and integrity are cornerstones of Amway. As a global enterprise that conducts business in more than 80 countries and territories, our operations are subject to laws as diverse as the world itself. Yet while these regulations and customs may differ, our promise to maintain the highest ethical standards remains unwavering. And it’s been that way since 1959.
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Ethics
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Expectations of Excellence We value our employees. Ours is a stimulating work environment that creates opportunities for all employees to realize their full potential. Amway diligently maintains a safe, clean and friendly workplace for all employees. We do not tolerate harassment, intimidation, violence or drugs in the workplace. We prize diversity and believe that all people should be respected and treated fairly regardless of personal characteristics such as their sex, race, ethnicity, disability, age or religion. We are loyal to our company. Honesty and loyalty are key virtues for both Amway employees and the company itself. We expect our employees to act in the company’s best interest and to exercise solid judgment unclouded by personal interests or divided loyalties. We keep business information private and do not misuse it for personal gain or to the detriment of the public or other companies. We value fair competition. A proud advocate of free enterprise, we never agree with a competitor to fix prices, divide territories or allocate customers. We respect our own and others’ copyrights, trademarks, patents, trade secrets and other forms of intellectual property. We are honest in all business dealings. Amway employees are expected to record and report business information truthfully, as well as maintain accurate books and records. Our legal staff works closely with both our local affiliates and government officials all over the world to help ensure that laws and regulations are followed. We do not make any payments to foreign government officials for the purpose of securing unfair advantage; we comply with local anti-corruption laws, including the United States Foreign Corrupt Practices Act. When business customs call for giving and receiving gifts and entertainment, we exercise good judgment and moderation.
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Ethics
We protect our customers. We stand behind the quality of our products and guarantee customer satisfaction. If for any reason the customer is not completely satisfied, a product may be returned within a specified period for an exchange or refund of the product’s price plus applicable tax. Additionally, Amway works with consumer protection organizations to enhance consumer education. We support ethical direct selling. As a leading global direct selling company, we engage more than three million individuals around the world who create their own businesses in partnership with Amway. We are committed to working with other ethical companies through industry organizations to promote direct selling and ensure ethical conduct. We have financial checks and balances. Amway is a private company built on the fundamentals and values of our founders, which continue to guide our employees, officers and directors today. The corporation is managed by a Board of Directors that balances our founding families with outside directors. Governance practices at Amway are designed to consider the interests of our many stakeholders: shareholders, affiliates, suppliers, distributors, customers, employees and the communities in which we do business. The Board oversees our good governance and risk management policies, holding regular long-term planning sessions to ensure that strategic plans are aligned for the future. We mitigate risk. We work to reduce risk resulting from Amway operations, both to protect our employees and to minimize downtime for our distributors. Our current worker safety incident rate is well below the industry average, and we have an active property loss protection plan that includes building and maintaining our facilities to meet appropriate fire protection standards, storing materials properly and conducting inspections to ensure our systems are working and in compliance.
We demand quality. Amway quality assurance teams closely monitor quality, from incoming components and materials through the manufacturing process and out into the field worldwide. We have many proactive programs in place to ensure that our strict quality standards are met. We pride ourselves on product safety. The health and safety of our customers and the environment are of paramount importance to us. Amway™ products are carefully evaluated to meet our high standards of safety and effectiveness. All ingredients in all personal and home care, cosmetic and nutritional products are considered safe for their intended use by appropriate government agencies, independent scientific review and the best consultative resources available to our scientists. Product Recall Policy The Amway product recall policy clearly outlines the procedure to be taken for any product we’ve distributed (including labels and literature) that must be recalled for any reason. Regardless of the nature of the incident, actions are immediately taken by management to ensure the safety of our distributors and their customers. We expect high standards of our suppliers. From providing a safe work environment to allowing full access to compliance inspections to fair employment practices, Amway embraces and upholds a Supplier Code of Conduct to ensure that the goods we sell are not the product of unacceptable working conditions. Doing so keeps our workforce productive and positioned to meet our customer demands for high-quality products at fair prices.
United States Direct Selling Association (DSA) Code of Ethics In the United States, the DSA’s commitment to ethical business practices and consumer service is its Code of Ethics. As a member company, Amway pledges to abide by the Code’s standards and procedures, which speak to both customers and sellers and ensure that member companies will make no statements or promises that might mislead either customers or prospective salespeople. Pyramid schemes are illegal and companies operating pyramids are not permitted to be members of the DSA. World Federation of Direct Selling Associations (WFDSA) World Code of Ethics The WFDSA is comprised of 60 national direct selling associations and one regional federation. Amway leaders around the world hold more than 50 leadership positions in direct selling associations. Membership in the WFDSA requires a commitment to abide by its World Code of Ethics, established to protect consumers globally. Amway fervently promotes and abides by this World Code. Globally, the World Code of Ethics is a constantly evolving, enforceable standard of behavior. The cornerstone of the direct selling industry’s commitment to ethical business practices and customer service, the World Code is a mechanism that ensures independent salespeople and customers are treated fairly and respectfully.
Ethics
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Amway employees building a playground in West Michigan
Communities Community Pride, Far and Wide Helping people live better lives is at the center of everything we do at Amway. Our business opportunity, our respected brands, our enduring relationships, our global citizenship – we are people who care about people. That care manifests itself in many forms, from reaching out with hands to rejoicing with hearts to revitalizing by sharing resources. Since 1959, Amway has contributed $428 million to causes around the world. Our leadership, employees and distributors have joined forces to inspire people and create positive change in the communities we serve. We’ve seen the power of making human connections, of rebuilding after disaster, of energizing economic development. And our work is far from complete.
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2010 8
2.3
2011 9.5 million children impacted
2.5 million hours volunteered
166 141
million dollars donated
all children impacted, hours volunteered, and dollars donated are measured in MILLIONS *Cumulative totals since the campaign was launched in 2003, includes efforts of Amway, employees and distributors worldwide
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Community
Amway ™ One BY ONE CAMPAIGN FOR CHILDREN From the Americas to Asia, Amway is a global corporate citizen poised to respond, rebuild and rejuvenate people and places around the world. The Amway™ One by One Campaign for Children rallies the entire Amway family to make a difference in the lives of disadvantaged children across the globe. Leadership, employees, distributors – together, we fulfill our vision of helping people live better lives by giving these children the resources, nurturing and inspiration they need to live, learn, achieve and, of course, play. Wherever Amway conducts business, we strive to positively impact the people and communities around us. Because needs are as diverse as the people themselves, Amway One by One supports hundreds of partner organizations to address the specific concerns of each community. Whether it’s landscaped facilities that beautify neighborhoods or local partnerships that ensure public safety, teaching basic gardening skills or helping impoverished children gain access to cancer treatment, we have a long history of improving lives and lifting spirits.
LIVE – Cape Town, South Africa
Across continents, Amway is making positive change. And we’re just getting started.
LEARN – Tainan, Taiwan
ACHIEVE – Delhi, India
PLAY – Rostov, Russia
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Lusaka, Zambia
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Highlighted Story Nutrilite Little Bits Across the world, hundreds of millions of children are loved and nurtured but malnourished. NUTRILITE™ Little Bits™ is the Amway effort to help eliminate chronic malnutrition in these children. Across Amway – and especially through our NUTRILITE™ products – we know that deficiencies of key micronutrients like iron, zinc, vitamin A and iodine can prevent kids from growing, inhibit brain development, and contribute to anemia and disease. That’s why we’re partnering with organizations around the world to not only fill these nutritional gaps but give these children the best start in life. NUTRILITE Little Bits™ is a supplement that packs 15 essential vitamins and minerals into a tasteless, odorless powder. When added to any native food, this powerful product fills micronutrient deficiencies in children from six months to five years old. And it’s working.
Next Stop: Zambia Thanks to our partnership with the Christian Alliance for Children in Zambia (CACZ), we took NUTRILITE Little Bits to Africa in August 2011. CACZ Executive Director David Siame says, “About 35 percent of the children are stunted in growth, due mainly to the food they eat – it’s not fortified. This program intervenes where the family eats. We follow the family where they are.” Thanks to NUTRILITE Little Bits, 175 Zambian children now get the nourishment they need to grow and thrive. The NUTRILITE Little Bits story brings all the pieces of Amway together: It fulfills our vision to help people live better lives. It connects the expertise of Nutrilite with communities. It’s another shining example of how Amway™ One by One is changing lives, one child at a time. And it soon will be expanded to reach more children, in more countries.
Making a Difference in Mexico In partnership with the Salvador Zubirán National Institute of Nutrition in Mexico, we conducted a pilot study with approximately 150 kids, ages one to five, with exceptional results: After just six months of intervention, NUTRILITE Little Bits reduced both the prevalence of iron deficiency anemia by nearly 90 percent and the prevalence of stunting by 18 percent. The program also produced more active, talkative and playful children. In 2011, working with partner Un Kilo de Ayuda, we helped support more than 600 children with NUTRILITE Little Bits.
Villa Victoria, Mexico
Videos at Amway.com
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REGIONAL HIGHLIGHTS The Americas
LATIN AMERICA • 18 homes built and 2 remodeled for families in Guatemala, El Salvador, Costa Rica, Colombia, Brazil and Argentina • 500 children with cancer in Venezuela and their families receive medicine, transportation and lodging • 657 children with chronic malnourishment received essential micronutrients in Mexico NORTH AMERICA • 13 skyscrapers repelled down to raise money for children with special needs in Canada • 2 heart surgeries provided for children in the Dominican Republic • 1 new partnership begun to help children with disabilities in Puerto Rico • 10 centers supported to mentor at risk children in the United States • 60 walks held to raise funds for children with special needs in the United States • 5 gardens planted and harvested in the United States • 6,100 toys delivered to children during the holidays in the United States Buena Park, California – Nutrilite Headquarters • 12 barrels of warm coats and clothes collected and donated for the holidays • 1,800 pounds of food given • 1 afterschool children’s health program designed by Nutrilite experts • 13 special events held for formerly abused children living in shelters, along with employee volunteer mentors West Michigan – Amway World Headquarters • 47 inner-city high school students received specialized business education • 600 pen pal letters written to help students elevate their reading and writing skills • 2 new playgrounds built by Amway employees • 4,000 books collected by employees for local schools
ASIA PACIFIC
AUSTRALIA/NEW ZEALAND • 270 modified bicycles provided to children with disabilities following one fundraising walk across the Sydney Bridge in Australia • 4 sports equipment packs were donated so children with disabilities can play with safer sports equipment in Australia • 1 city’s recovery quickened with funds from Amway, distributors and employees in New Zealand JAPAN • 400,000 cards distributed with a hotline telephone number for children who survived the earthquake and tsunami • 8,000 abused and neglected children received support and counseling KOREA • 12 Nutrilite soccer classes held for children who may not have access to sports programs • 1,000 children learned about nutrition and health related education to prevent obesity SOUTHEAST ASIA • 1 television talk show appearance to advocate for children’s issues in Indonesia • 2 pediatric facilities at government hospitals renovated in Malaysia • 101 children attended special family camps in Malaysia • 4 libraries sponsored for 2,500 children in the Philippines • 9 centers for disadvantaged children and youth that received enrichment programs in Singapore • 5 school libraries built for 937 children in remote areas of Thailand • 35 students graduated through an Amway scholarship in Thailand • 2 surgery missions to help 140 children with cleft lips and palate deformities in Vietnam
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Greater China
400,000 children from migrant worker families were helped in China 88 university partnerships sent postgraduate volunteers to teach in remote, underserved areas of China • 6,100 volunteers taught families how to care for the environment at Environmental Theme Parks across China • 65,270 volunteers are registered with the Amway Volunteer Association throughout China • 1,500 people participated in customized mental health learning programs in Hong Kong • 7,161 junior high school students at 19 schools in underserved areas of Taiwan have tuition covered and schools sponsored • 126 children in Taiwan with burns or facial disfigurements attended a specialized summer camp just for them • •
EUROPE/INDIA/SOUTHERN AFRICA
EUROPE • 1 business run raised funds for children with cancer in Austria • 1 community in Mali provided clean water by distributors in Belgium • 100 children with chronic childhood diseases treated with new medical equipment in Croatia • Donations of medical equipment, supported by volunteer work for child trauma patients in Czech Republic • 4 homes improved to provide overnight stays for children in need of healthy lifestyles and self esteem in Denmark • 1 run in Finland helped provide education for underserved girls in Nepal and support for a global parent program • 1,300 children received visits by clown doctors to speed their recovery in France • 3,000 children across Germany given free lunches as a result of a hunger initiative • 250 orphaned and abandoned children received care and treatment in Greece with shelters across the country • 1,991 trees planted by distributors and local children across Hungary • 450 children in Italy gained access to new, safe sports facilities, thanks to Amway and its European distributors • 1 new water playground built for children in the Netherlands • 105 distributors in Norway ran to raise money for schools in Africa • 1 playground built by distributors and staff in Poland • 3 children with chronic diseases had their dreams come true in Portugal • 300 disabled children and their families received education and medical treatment in Romania • 100 sensory rooms and playrooms equipped for 130,000 children across Russia over the last four years • Multiple cultural and sports activities provided for disabled children in Slovakia • 1,000 children with chronic diseases and injuries received extra support in Slovenia • 1 clown doctor provided for a children’s hospital in Spain • 230 runners raised funds for disaster relief and preparedness in Sweden • 8,763 products given to children with cancer in Switzerland • 200 disadvantaged families received preschool education in Turkey • 7 playgrounds built by more than 800 distributors and their families at children’s hospitals in Ukraine • 70 children with cancer were given extra support in the United Kingdom INDIA • 3,000 visually challenged students received training at 15 computer/vocational centers • 150 visually impaired students were given a new studio to record curriculum materials to improve their studies • 90 visually challenged students took part in job training and courses • 15 road shows conducted with local police to sensitize drivers to visually challenged pedestrians • 200 visually challenged children participated in a national chess and dance competition SOUTHERN AFRICA • 950 children given specialized lap desks for their schoolwork across South Africa • 175 children received essential micronutrients through NUTRILITE™ Little Bits in Zambia
To read stories about these worldwide programs, visit the Amway™ One by One blog at www.blogs.amway.com/onebyone.
Videos at Amway.com
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The following regional stories highlight just a few of the hundreds of programs supported through the Amway One by One Campaign for Children. You can read more stories on the Amway One by One blog at www.blogs.com/onebyone.
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REGIONAL Stories West Michigan United Way Campaign When it comes to United Way, Amway employees are nothing short of‌united. The United Way Campaign is the biggest fundraiser at Amway headquarters by far: In fact, so many of our generous employees participate that Amway has become a leading United Way employee contributor in West Michigan. Our collective support enables the Heart of West Michigan United Way to significantly impact lives in our local community. In collaboration with local organizations, the United Way uses donations to advance the common good by supporting those who have fallen on hard times. By building preventive systems to keep these problems from happening in the first place, the United Way remedies critical issues related to income, health and education. Last year, Amway employees contributed more than $615,000 to United Way, either through direct giving or creative fundraising events like bake sales and silent auctions. Amway increases the power of employee engagement by contributing fifty cents for every employee dollar committed. And on the United Way Day of Caring, which occurs on or around September 11, employees join with other companies and community members that provide volunteer support to dozens of nonprofit organizations. These inspiring volunteers prove that every person, every little bit, can make all the difference.
Videos at Amway.com
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REGIONAL Stories United States Positive Sprouts How do you encourage city youth to eat more fruits and vegetables? By teaching them how to grow and harvest them, naturally. That’s just what the Amway ‘Positive Sprouts’ program is doing across the United States. And as we look back on year two of this $1 million, three-year partnership with Boys & Girls Clubs of America, we’re happy to report that our program is sprouting sensationally: A dozen community gardens have been built with the help of Amway employees and distributors, who have tilled and toiled alongside Boys & Girls Club members and staff. Designed to improve nutrition among Club members, this hands-on initiative is a howto course on the importance of eating right to live well. ‘Positive Sprouts’ supports Boys & Girls Club’s healthy lifestyle initiative to engage members in positive behaviors that nurture their wellbeing and help them set personal goals to achieve promising futures. We’re feeding bodies and minds, and we couldn’t be more fulfilled.
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REGIONAL Stories Guatemala Habitat for Humanity It started with six Amway distributors and one plan: build homes in Guatemala. And that’s just what these ambitious humanitarians did, alongside thankful future homeowners under the hot Central American sun. Word spread and soon more Amway volunteers joined, including Tim Foley, an Amway Founders Crown Ambassador who both recruited helpers and helped subsidize their trips. Eight years later, more than 85 people now make the annual trip to the Zacapa region to mix concrete, fill in floors, heft cinder blocks and cut rebar. Employees and distributors, uplines and downlines, parents and kids – this generous group of Amway volunteers from the United States, Mexico, Guatemala and El Salvador built 12 homes in Guatemala last year and, with the help of an Amway match grant, will purchase property for an additional 40. And just in time: High illiteracy rates and low wages create barriers to home ownership in Guatemala, forcing increasing numbers of families to live in unsafe or crowded conditions. Yet our work doesn’t stop there: These dedicated distributors have inspired a formal partnership between Amway and Habitat for Humanity to build homes in 10 countries across Latin America. It’s sweat equity with a sweet ending – proving there really is no place like home.
Videos at Amway.com
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REGIONAL Stories Russia Equal in Sport They’re kicking it in Moscow: The Russian capital hosted the ‘Equal in Sport’ football playoffs. Amway partners with Perspektiva, a regional organization benefitting the disabled, to provide this positive program, which empowers young athletes from low-income families and with special needs to realize their sports dreams. From coaching and equipment to facility rentals and travel, Amway fully funds ‘Equal in Sport’. This year alone, we engaged 200 young athletes comprising 16 teams across four Russian cities for weekly practices, and intercity and regional matches. For many of these young players, the final tournament in Moscow marked their first trip in an airplane. At the finals, nearly 100 Amway distributor and employee volunteers were inspired by the talents of a 12-year-old who, without the support of ‘Equal in Sport’, would not have the financial resources to pay for league fees or even a uniform. Likewise, an 11-yearold with cerebral palsy impressed his fellow athletes with his determination and vast knowledge of Italy’s top football clubs. The victors from the 2010 playoffs, Team Futbalishka from St. Petersburg, won a special trip to Italy to meet the worldfamous AC Milan professional team. While there, they trained at the AC Milan Academy Junior Summer Camp and even played in an unforgettable match with the AC Milan Junior Team that ended in a 3-to-3 tie. For Team Futbalishka, it was not “Veni Vidi Vici” but “We came. We played. We won together.”
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REGIONAL Stories Ukraine Road to Success Some of life’s most important lessons aren’t taught in school. And without the guidance of a parent, some youth may never learn them at all. We’re talking about life skills, and we’re teaching them to orphaned teens in Ukraine through the ‘Road to Success’ program. Launched as a business school, this Amway™ program educates high school students on the skills they need to succeed after graduation. From learning to independently organize and plan their time, to forming and expressing their opinions, to earning and spending their money appropriately, these teens are getting fundamental knowledge for starting their careers – and their adult lives – off on the right foot. Amway distributors and employees regularly share their expertise and time, conducting ‘Road to Success’ trainings and workshops. Each year, more than 300 teenagers arrive at camps and attend lessons on communication, computer technologies, environmental protection and vocational projects. Even when camps are not in session, Amway distributors and employees, along with other business experts, visit 2,000 students in boarding schools across Ukraine. Each year, the program improves with new courses, new experts and new participants. Since 2007, Amway distributors and employees have donated $220,000 in funds and 1,500 hours of volunteer time to keep ‘Road to Success’ running, paving the road for the success of their grateful students.
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REGIONAL Stories India Amway Opportunity Foundation Imagine a world filled with darkness – literally. Such is life for the visually challenged. Yet the Amway Opportunity Foundation (AOF) is finding a way to shed new light into their lives. It all began in 1999, when AOF provided funding for Braille textbooks. In just six years, we served 85,000 visually challenged schoolchildren. As a logical next step, we turned our focus to technology-based learning by opening The AOF Computer Center for Excellence in mid-2008. This high-tech, hands-on facility provides computer training and IT skill development to enable visually challenged students to integrate into mainstream society and become financially independent. In partnership with social organizations like the National Association for the Blind and the All India Confederation for the Blind, AOF has also set up fully functional computer centers at schools. To date, we’ve created 15 centers across the country, supporting more than 3,000 visually challenged students with leading-edge hardware and software to enhance and ease their learning. Amway volunteers teach skills like interpersonal communications, interview handling, assertiveness and appropriate body language. Further, AOF has made a three-year commitment to provide funding for computer instructors, as well as recurring facility costs like Internet service, electrical wiring, air conditioning and electricity, with the hopes of extending support beyond this initial grant period.
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REGIONAL Stories china Amway Charity Foundation It’s another Amway first: The Amway Charity Foundation. The first private foundation sponsored by a multinational company under the direct supervision of the Ministry of Civil Affairs in China, this new venture will focus on assisting the children of underprivileged migrant workers across China. Established with the purpose of helping 1.5 million children over the next three years, the Foundation was launched with initial funds of 100 million Yuan ($15.4 million USD). It’s being seen as a breakthrough in the country’s humanitarian infrastructure. “The Amway Charity Foundation will have a huge impact on the establishment of non-governmental charity foundations in the future,” says Jiang li, Vice Minister of Civil Affairs. As China quickly urbanizes, young farmers are flooding to its cities to become migrant workers, many of whom have difficulties adjusting to urban life and accessing basic services. And while they live and work in cities, many of their children are left behind in poor rural areas with equally poor educational opportunities. Thanks to Amway Charity Foundation educational programming like ‘Project Sunshine’, ‘Rainbow Project’ and ‘Spring Sprout Project’, tens of millions of migrant children are getting new opportunities to feed their minds and to flourish.
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REGIONAL Stories Indonesia The Yellow Ribbon Foundation Coming soon to a talk show near you: the Amway™ One by One Campaign for Children. In partnership with the Yellow Ribbon Foundation and Dharmais Hospital, Amway Indonesia is joining the fight against childhood cancer. To date, we’ve donated an ambulance, renovated children’s wards and volunteered to help children and their families through their journey with cancer. And people are taking notice: Because of the programs and public awareness initiatives supported by Amway, Indonesia General Manager Koen Verheyen was invited to be the focus of an hour-long interview on The Yellow Ribbon, a popular daytime talk show in Indonesia. Verheyen talked about childhood cancer and Amway efforts in helping children through its partnership with the cancer foundation and the hospital. As a result of the interview, Amway was asked to conduct some of its programs at Binus TV Studios. Now, every Wednesday afternoon, Amway employees and distributors host groups of children as they learn new skills like interviewing, television production, singing, reading and creating crafts. All activities are aired live on Binus TV, putting these superstar kids where they belong – in the spotlight.
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REGIONAL Stories Malaysia Happy Healthy Children It was an Amway homecoming to remember: We invited 60 children and their foster parents to visit our Malaysia headquarters. Why was this event so significant? To understand the full story, you have to understand a few Malaysian words: Rumah means ‘home’. Tunas means ‘seeds’. Harapan means ‘hope’. Put them together – Rumah Tunas Harapan – and you have ‘a home that nurtures the seeds of hope’, a place for orphaned and abandoned children to live with foster parents. The Malaysian Social Welfare Department introduced this new approach as a means of providing a family system to children without parents and, in 1986, Amway pledged RM500,000 (approximately $165,000 USD) to build six Rumah Tunas Harapan. And now, 25 years later, our employees and distributors still regularly visit these children, never forgetting about their welfare or the welfare of other children whose lives they have touched through workshops and camps. Amway holds many events for children and families at the Amway Malaysia headquarters. So it was a special visit when the Rumah Tunas Harapan children were invited to a tour of Amway in 2011. “The trip is the culmination of a decades-long partnership,” reminisces Hajjah Saphiah Binti Romly, a Rumah Tunas Harapan caregiver who’s long been acquainted with Amway. “It’s a homecoming of sorts for us.”
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REGIONAL Stories Japan The Orange Project Consider this equation: Would you rather make a small impact on many children or a large impact on a few? We’re trying it both ways in Japan. For several years, we’ve taken a bold stance on preventing child abuse with Amway™ One by One efforts. Amway leaders have acknowledged the rising cases of abuse and neglect across Japan, and we recognize the need for more champions to shed light on this often taboo topic. The latest effort is ‘The Orange Project’. Created to raise awareness and prevent child abuse in Japan, this program is making headway – and in a big way: In 2010, we wrapped our Amway Shibuya facility in an orange ribbon and in 2011, our distributors made more than 150,000 orange ribbons, the symbol for the prevention of child abuse. Amway pledged donations for each ribbon, for organizations providing training, therapy and shelter to abused children. In a more focused approach, Amway formed a new alliance to profoundly impact a few children who have been separated from their parents because of abuse. In partnership with Crop Minori, which works with the Ministry of Health, Labor and Welfare, Amway is supporting Crop House, a foster home where up to six children are raised as a family in a safe environment surrounded by a strong team of child protection experts and therapists. There is no one solution for ending child abuse. Interventions big and small are necessary to give children the safe, secure futures they deserve.
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REGIONAL Stories South Korea Nutrilite Health Watcher Did you know that when it comes to food, colorful often means good-for-you? Healthy eaters know. Thanks to ‘Nutrilite Health Watcher’, children in South Korea know too. Kicked off with a $262,000 donation from Amway, in partnership with 32 social welfare centers, this health education program enriches children and families with hands-on healthy insights, from body composition profiles to nutrition guidelines to obesity prevention. It begins with color – and the brighter, the better to fuel your body and mind. Just ask the 15 youth who partook in Nutrilite Health Watcher’s “Phyto Color Cooking Class” at the Jayang Social Welfare Center. With a focus on antioxidant-rich phytonutrients – that’s where the “phyto” comes from – these clever cooks rose to the challenge of whipping up recipes using only red, yellow, orange, green, purple and white vegetables. The result? Delicious dishes infused with natural goodness. And when the cooking concluded, our own Nutrilite trainer shared tips on how to keep fit and healthy, from the inside out. ‘Nutrilite Health Watcher’ is gaining momentum and will make the rounds to welfare centers across South Korea, putting optimal nutrition at the forefront and proving that a colorful palette of food can be quite palatable.
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Disaster Relief Making a World of Difference About people, for people – Amway is a global family that’s millions strong. When natural disaster strikes, we rally and respond with open hearts and willing hands. Because that’s what you do for family. In true Amway form, our disaster relief efforts are anything but small. Since launching a formal disaster response program in 2004, Amway, employees and distributors have donated $23 million in cash, products and services worldwide. Amway is at the ready to reach out. Once the magnitude of a disaster is determined, we work through our many partner agencies to deliver the appropriate aid. In 2011, we responded to nine significant natural disasters.
Stories of support inspired the Amway family worldwide. Consider United States distributor Sachiko Draper who, upon hearing of the devastation, donated her bonus payment to the Amway matching fund and then reached out to fellow distributors in Japan. After connecting with a mother of a 6-month-old baby confined to her home to avoid radiation, Draper immediately arranged for delivery of a case of baby formula. It arrived and the young mother rode her bicycle to the post office to pick it up, after making sure the wind was blowing in a direction that was not coming from the nuclear power plant just 25 miles away. Or consider Hideko Yoshida, a Japanese distributor in the afflicted area, who delivered a piggy bank filled with coins and bank notes to Amway Japan President John Parker in support of his fellow countrymen in even more severe need. “We are alive,” she wrote. “We can eat warm food. But there are so many people in great need. We must all work together to do our best!” Large and small, support like this is indeed fulfilling our mission of helping people live better lives.
Historic Help in Japan When a historic earthquake, tsunami and nuclear emergency devastated Japan and claimed the lives of thousands, Amway stepped up with equally historic relief. Amid heartbreak, we provided heartfelt support. Amway, employees, distributors and customers donated more than $4.4 million, which included a 100 percent match from Amway. Funds fueled the Japanese Red Cross and other agencies providing immediate relief and long-term recovery. Donations collected by Amway distributors in Japan were designated to distributors affected by this tragedy.
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Amway President Doug DeVos and Amway Japan President John Parker visiting Japanese distributors
The More Disasters, The More Amway Responds Across continents, the Amway family reaches out to speed the recovery of people and the rejuvenation of communities. Our hearts go out to the victims of these catastrophes while our hands get to work: We thank the many Amway leaders, employees and distributors who help us help others. Australia Amway corporate, employees and distributors provided relief to some of the three million Australians affected by flooding. Amway distributors living in flooded areas received product donations, special product offers and free delivery, and Amway helped to rebuild a new state-of-the-art picnic area for families in one of the most affected areas. Brazil Floods and mud slides took the lives of hundreds of people, leaving many missing and thousands more homeless. Amway responded with product donations to families in need, and we are planning long-term rebuilding efforts with Habitat for Humanity. Colombia When massive flooding displaced an estimated two million people from their homes, Amway made an immediate donation to Colombia Humanitaria, and is working on long-term rebuilding efforts with Habitat for Humanity. East Africa When the worst drought in more than 60 years devastated East Africa, more than 12 million people throughout Somalia, Ethiopia, Kenya and Djibouti needed emergency relief. While the countries of East Africa are not Amway markets, the sheer scale of this crisis called us to respond. Amway donated $100,000 to assist in relief efforts. We partnered with CARE, an organization with extensive crisis relief experience in Africa.
Amway distributor donations in Australia
New Zealand A massive 7.1 earthquake in Christchurch prompted Amway employees in Australia to raise funds for disaster relief. Amway also donated to the Red Cross and matched staff and distributor donations, as well as offered free delivery to distributors in the affected area and extended discounts for product purchases. Philippines Tropical Storm Washi brought heavy rains and flash floods to the Philippines, causing thousands of deaths. Amway made an immediate donation, as well as matched donations made by distributors and employees. Thailand Flood waters also covered two thirds of Thailand, creating the worst flooding in more than 50 years and claiming hundreds of lives. Amway made food and monetary donations, and gave extra support to affected distributors. Turkey When a 7.2 earthquake shook Eastern Turkey, Amway immediately responded with a donation to the Red Cross relief effort. Damage was substantial, with hundreds killed. Thankfully, all Amway employees and distributors were safe, and we reached out with additional help to distributors in affected areas.
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Amway Employees – Levent Hamdemir and Jaida Vaught
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Employees People Make it Possible From our West Michigan headquarters to our country offices in four regions spanning the globe, we’re a worldwide family at Amway. While our business opportunity and products may steal the spotlight, we know it’s our people who power our enterprise. All over Amway, we work together to create a work environment that inspires individual worth, empowers performance and rewards contributions. Paramount to being a global employer of choice is our commitment to providing our employees with the tools and opportunities they need to create optimal careers and live a balanced life. We invest in them, so they can become their best. Because great people happen here.
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Empowering our Employees Rewards and Benefits At Amway, we reward our employees in many ways – targeted development plans, global career opportunities, performance-based pay and comprehensive benefits. Employees at our World Headquarters in West Michigan enjoy an employee store, wellness programs, an onsite state-of-the-art fitness center with innovative programs and events created just for them and their families. Tailored Education and Development We keep our eyes on the prize: personal and professional best. We pride ourselves on giving our employees the power and knowledge to advance their careers at Amway. Our employee-focused culture drives education and training, always tailored to individual growth and development, so that each employee has the opportunity to apply his or her talents beyond the job description.
“The thing I like most about Amway is the sense of community – we’re involved in the communities where we operate.” - Greg Weichhand Amway World Headquarters
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AMWAY CHINA EMPLOYEES INNOVATE Innovation isn’t a catchphrase but a culture at Amway. Consider The Amway China ‘Innovation Project’, an energizing initiative developed to spark out-of-the-box thinking while nurturing role models in fellow employee innovators. And it’s working: Amway China produced several innovations that have increased efficiencies and productivity across departments – starting with the Innovation Portal, an interactive platform that engages employees to enhance corporate operations and business excellence. Just last year, this Portal was enhanced with SMS capabilities, allowing employees to text ideas anytime, from anywhere. The ‘Innovation Project’ gained momentum three years ago, with 12,000 ideas submitted to the Innovation Portal from 3,800 employees. Of those, 500 were recognized, and the top ten innovators received an award and two inspiring trips to IDEO, a leading international design and innovation consultancy, and the Amway China lab for first-hand R&D experience.
A Safe Workplace Safety is a priority for Amway employees, and we see it as a collaborative effort between staff and management. Every year, we evaluate and refresh safety practices, with a focus on awareness and education. Perhaps that’s why Amway consistently outperforms similar United States businesses in safety, with total injury accident rates at 30 percent less than the industry average. Valuing Diversity Across the world, Amway is recognized as a high-performing, values-based employer of choice. We are a diverse and inclusive company that intentionally drives the development of talent across our enterprise. Doing so engages our employees within a globally diverse environment while enabling our culture of innovation and consumer orientation.
Global Talent Development Amway talent development teams at our World Headquarters support our key enterprise strategy of developing a performance-driven culture. We engage employees with tools and resources to not just meet job requirements but move ahead. We advocate purposeful development, customized to meet individual needs, so employees can perform and contribute at the highest level. And we provide many development opportunities to enhance skills and knowledge, in support of company goals. We empower employees to take responsibility for proactively driving their own development – at Amway and in life. Our comprehensive programs encompass all aspects of professional and personal growth, from self-directed professional and personal development learning activities to leadership development courses to oneon-one career counseling.
“Amway gives me the chance to grow professionally and personally. Working at a global leader has opened my mind to knowledge and relationships.” - Mauro Soffientini Amway Italy
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EMPOWERING OUR EMPLOYEES One Pound at a Time The topic of weight loss can be, well, heavy. Just ask the 10 employees who took the Optimal You “New Way to a New You” challenge last January and now weigh an astonishing 167 pounds less, collectively dropping an average of 16 pounds per week over the 12-week period. And they’re still losing! Shawn Haff, who works at the Employee Store, admits feeling overwhelmed by the amount of weight she wanted to lose. Yet nutritionist Jody Koutz was encouraging, “She told me to think about losing one pound at a time.” Inspired and motivated, Haff did just that: She shed 43 pounds and jumpstarted her – and her family’s – life. “I now can play with my kids. I’ve discovered a love of running, and my husband and I even bought bikes.” What’s more, Haff’s blood pressure, close to hypertension prior to the program, is back to normal and she’s changed her eating habits by following the program’s easy-to-use guidelines. “I learned how to fuel my body, instead of just taking in empty calories.” Forklift driver John Loftis was inspired to get in better shape by his 88-year-old father who still works out three times every week. “I was just thinking about the future,” Loftis says, wanting to improve his overall health for his wife and two boys. While skeptical at first, he found everything he needed to succeed in his Optimal You materials. ”The binder has meals, snacks, grocery lists, recipes, everything.” Loftis admits to enjoying all the positive comments he now gets since losing 24 pounds – and one in particular, “My wife says I no longer snore.” Throughout the program, Nutrilite physician Dr. Kip Johnson advised participants to be mindful that weight loss is a lifetime commitment that requires lifestyle change. Loftis took note, “That really stuck with me.”
Optimal You, Our Premier Employee Wellness Program We take a holistic approach to caring for our employees, recognizing that the influences on their emotional and physical well-being extend beyond the workplace. With this in mind, we launched Optimal You in 2005. This positive, practical program gives our employees the flexibility to balance their work and home lives by equipping them with the tools they need to positively influence their health. And it’s working: Employee participants experienced a 38 percent improvement in their overall risk factors in 2011 alone. What’s more, employee participation in the Optimal You incentive program has grown to 61 percent of the total workforce and 83 percent of those participants meet all program requirements to receive lower monthly healthcare premiums. More involvement means less overall health risks for our most valuable asset, our people. Thanks to these health-smart employees, we’re strengthening our culture of wellness.
“I get as much acknowledgement, compensation and fulfillment as I contribute. I’m fortunate to work at Amway.” - Jung-Kook Ryu Amway Korea
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Opportunities to Make a Difference Helping people live better lives is the Amway vision, and our employees keep a sharp focus on helping us fulfill it by getting involved in programs and events in communities across the world. We post local volunteer opportunities in Amway publications and on a dedicated website, so employees can best match their interests with local causes. We even train Amway executives in nonprofit board leadership, so they too can align their passions and contribute their leadership skills to local nonprofit organizations. Environment and Sustainability Carpooling, recycling, wildlife education – you name it, Amway employees are doing it. Environmental stewardship and sustainability is critically important to our business, and we offer many learning opportunities to educate our employees and empower their own decision-making.
“No matter where you are and where you work, we’re all working toward the same goals as a global team.” - Kim Drabik Amway World Headquarters
Preventive Screenings, People Saved Amway Associate Brand Communications Specialist Erika Nungary credits taking part in the Optimal You program with literally saving her life. She says there was a time about three years ago when she just knew something wasn’t right with her health. “It wasn’t drastic, but I knew there were times that I just I wasn’t remembering things or communicating clearly,” she recalls. “My doctor said I was probably just stressed and needed a vacation, but I knew that wasn’t it.” Fortunately, Nungary followed her hunch and paid a visit to Dr. Kip Johnson, an on-staff Nutrilite physician available to employees for consultations at our Buena Park, California facilities. He concluded she might have an issue with her pituitary gland and suggested she have an MRI at her next physical – which she had already scheduled in order to meet Optimal You program requirements. Although blood tests didn’t reveal anything, her doctor ordered the MRI as she requested. The next day, Nungary received a phone call that would change her life. “My doctor told me to see a neurosurgeon immediately. I had a walnutsized tumor on top of my pituitary gland that was pushing into my brain.” The neurosurgeon told her that her life was in immediate danger and, even with surgery, she may be blind or paralyzed. Nungary not only survived the surgery, but after four months of recuperation and radiation she was back to work. Today, she is a champion of employee participation in all of the opportunities offered through the Amway Optimal You program and medical benefits. “I am so thankful that I work for a company with such great support and health resources. I want to tell employees to not waste the wonderful resources at Amway. Pay attention to your body and if something’s wrong, see your doctor immediately – nothing is more important!”
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Trout Lake Farm, Washington, United States
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Environment Caring for our Planet We’re a family business, and we protect the Earth. Amway leaders, employees and distributors across the world take pride in our generations of environmental stewardship. We are diverse global citizens yet we stand united in our commitment to improve the way we work, the products we make and the people we serve. We see sustainability as not a destination but a journey. Every step of the way, we look to reduce our footprint by elevating our environmental consciousness and innovating our processes and products. Our global commitments to environmental stewardship include: • Reducing the environmental impact of our operations – conserving resources through reuse and recycling, the prevention of pollution, the elimination of hazards and the responsible use of energy. • Training our employees – motivating them to take personal accountability for protecting the environment and creating a safe, healthy workplace. • Measuring our environmental health and safety – assessing and auditing our programs. • Seeking renewable energy sources – replacing fossil fuels that power our facilities and improving our current systems to maximize their output. • Bolstering our sustainable farming – experimenting with new ideas and technologies on our 6,400 acres of organic farmland in the United States, Mexico and Brazil. We learn by doing. We lead by example.
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Measurements and Priorities Global Amway Supply Chain 2010
2011
2014 (Goal)
Waste Recycling Rate (%)
84.5%
85.4%
95%
Green Power (non-grid)
5.4%
5.2%
15%
Water (KLiters)
1,625,136
1,602,984*
1,404,529 (10% Reduction)
Green-House Gas Reduction Emmissions (Tonnes)
185,995
pending
139,496 (25% Reduction)
*4th quarter estimated
Amway is implementing a Global Environmental Metrics reporting program encompassing our global supply chain facilities in the US, Mexico, Brazil, Vietnam and China. This program measures key sustainability metrics and production volume. Considering the substantial growth of the company over the past year, our environmental performance continues to track well toward our 2014 goals. Our first global reporting of Amway greenhouse gas emissions occurred in 2011 through the Carbon Disclosure Project (CDP), the world’s largest reporting of worldwide greenhouse gas (GHG) emissions. This voluntary program gathers GHG emissions from more than 3,000 companies. In addition to CDP, we reported our use of green power through the EPA’s Green Power Partnership. What’s more, three major Amway manufacturing facilities – Ada, Michigan; Buena Park, California; and Guangzhou, China – have environmental management systems that are registered under the ISO 1400:2004 environmental management standard. Registration to this prestigious global ISO standard is obtained through yearly third-party audits.
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PRIORITY ONE: REDUCE OUR CARBON FOOTPRINT The first environmental goal for Amway is to reduce our carbon footprint, which is expressed by reducing our GHG emissions. Part of this reduction is an active energy conservation program: Since 2006, we have reduced our aggregate US electricity use despite a growing business. Energy conservation projects include: • Energy Kaizen™ events to reduce energy use at distribution centers through lighting, compressed air leaks, insulations and HVAC controls. These projects help us deliver orders to distributors in the most efficient facilities possible. • High-efficiency lighting continues to be an ongoing effort. In 2011, one of our main warehouse areas was converted from old metal halide fixtures to high efficiency fluorescent fixtures. We also began piloting LED fixtures in our parking lot, which now operate on 70 percent less electricity.
• Compressed air is a major source of electricity used in manufacturing and distribution. Through ongoing efforts to find and fix air leaks, as well as implement innovative approaches to using compressed air in our manufacturing and distribution centers, we have reduced electricity use by 16 percent in the last five years. • We continue to purchase electricity from green alternative energy. Our goal is to use green power for 15 percent of aggregate US electricity – currently at 7 percent – and we continually look for ways to increase our use of green technologies like solar, wind and fuel cells. Transportation As a global company, Amway has a significant transportation footprint – it far exceeds our carbon footprint for manufacturing. We have a new plan to address our transportation impact, with the primary goal of making transportationintensive products much closer to the end customer. In markets like Europe and Asia, we will be repositioning our manufacturing of home care and durables to significantly reduce our transportation footprint. Changes in home care alone will reduce our transportation GHG emissions by 70 percent, and will have a profound impact on our carbon footprint when fully implemented by 2014.
PRIORITY TWO: CUT WATER CONSUMPTION Water is the key resource for the production of all Amway™ brand products. We need it to grow ingredients on our Nutrilite farms, to clean and sanitize our production equipment and to make our homecare and personal care products. Our goal is to reduce our water consumption by 10 percent by 2014, and we are well on our way, thanks to innovative initiatives like irrigation strips in Mexico and drip irrigation in Brazil.
PRIORITY THREE: LESS WASTE, MORE RECYCLING Less really is more: Our third goal for reducing Amway waste, recovery and recycling footprint is to reduce the waste we send to landfills by increasing recycling. Specifically, we want to increase our recycling rate to 95 percent by 2014. Amway has made great strides in addressing the issue of packing materials used to ship orders to distributors. Our goal is to make shipping boxes that match the size and shape of orders being shipped, reducing excess packing. Amway distribution engineers have created a new technology that determines the size and shape of each order, and then forms a box optimal to meet those specifications. Doing so reduces packing material and shipping weight while allowing for more optimum loading of delivery trucks. Amway hopes to roll-out this technology to additional service centers in the coming years.
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Profiles – Life Cycle Assessment The Full Cycle Amway scientists know that analyzing a product’s lifecycle leads to better product design and reduced environmental impact. Amway has developed Life Cycle Assessment (LCA) tools to evaluate the environmental impacts of our products and packaging, which in turn, impacts the design of our products. To date, we have evaluated the lifecycle of more than 40 Amway™ products. The LCA internationally recognized methodology compiles and examines the inputs and outputs of materials and energy used to determine environmental impacts throughout a product’s lifecycle – from raw materials to manufacturing to distribution to end-of-life management. A core team within our product development division at Amway has been trained in this systematic procedure and is now using it to make improvements – and, ultimately, make all Amway brand products, operations and services more sustainable through: • Effective identification and prioritization of environmental performance improvement initiatives. • More fully informed research and development related decision-making. • More relevant indicators of product environmental performance. • Validated environmental performance claims.
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In 2011, Amway conducted LCAs on two models of our in-home air purifiers. Likewise, the relaunch of our eSpring™ Carbon Water Treatment System in Japan merited an LCA, to ensure that the new model had a much smaller environmental footprint. Case studies like these continue to strengthen our life cycle expertise and capacity at Amway, bolstering our product development and answering the call of environmentally-conscious customers. We’re listening and learning.
Profiles – Agriculture and Wildlife Habitats 180 Acres of Protected Habitats Nearly 180 of the 430 acres at Amway World Headquarters are managed as wildlife habitats. In protecting this land, we increase the quality of life for the flora and fauna that surround us. Not to mention we ensure a thriving natural environment for our employees and the West Michigan community. Each year, wildlife experts, along with Amway employees and their families, volunteer to identify, categorize and build nest boxes for the hundreds of diverse species in the habitat. And with 80 different bird species, 155 insect species and 12 amphibian and reptile species, there’s always something to see and experience.
6,400 ACRES OF ORGANIC FARMLAND Perhaps one of the best examples of the Amway environmental commitment is the story behind the Nutrilite™ brand. NUTRILITE is the world’s only vitamin and mineral brand to grow, harvest and process plants on its own certified organic farms.1 And we do so on more than 6,400 acres of organic farmland in the United States, Mexico and Brazil, where plants are grown and harvested in accordance with nature, using sustainable methods. What this means is that we grow the natural ingredients used in our products without using chemical fertilizers or synthetic pesticides. We replenish the soil, rather than deplete it, dehydrating and processing products within hours of harvest and then carefully packaging and shipping them soon after production. Doing so guarantees a just-in-time-freshness that’s distinctive to NUTRILITE products. What’s more, as part of the NutriCert farm certification program, many of the farms supplying botanical materials used in NUTRILITE products are required to adhere to these same guiding sustainable principles. These farms are also required to provide a healthy social environment for their employees, with opportunities for personal development and training. 1 Source Euromonitor International Limited; Based on 2010 RSP sales (US$) of Vitamins and Dietary Supplements (VDS) across all retail channels. VDS includes mineral supplements, fish oils, dietary supplements, tonics and bottled nutritive drinks and child-specific vitamins and dietary supplements. “Global Presence” for a brand is defined as having at least a 0.1% regional value share in a least four of the seven global regions. To challenge the claim, brand owners must at least partially own and control the production process, from farms where ingredients are grown to the plants were the brand is manufactured. Brand owners must not only own farms where inputs used in the manufacture of a brand are planted, grown and harvested, but these farms must also be organically certified. Based on Euromonitor research for Amway Corporation. To the extent permissible, Euromonitor does not accept or assume responsibility to any third party in respect of this claim.
Wildlife on Amway World Headquarters land
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Memberships and Certifications Sustainable Forestry Initiative The Amway Corrugated Printing Department is certified for fiber sourcing in the Sustainable Forestry Initiative. This means that 100 percent of Amway’s corrugated material is sourced from well-managed forests. EPA Climate Leaders Partnership Amway is committed to reducing our impact on the global environment by voluntarily completing a corporate-wide inventory of our greenhouse gas emissions for the United States Environmental Protection Agency. EPA Green Power Partnership Amway helps support the development of new renewable power generation capacity nationwide while also helping protect the environment through a collaboration with the United States Environmental Protection Agency. Michigan Great Printers Project We work to prevent pollution by achieving environmental compliance in association with our print services. Michigan Business Pollution Prevention Partnership We commit to improving the environment by adopting the three “Rs” – reduce, reuse, recycle.
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Wildlife Habitat Council We are enhancing and restoring wildlife habitats by planning for sustainability and meeting economic, environmental and social needs of the present and future generations. ISO Certifications Our Ada, Michigan and Guangzhou, China manufacturing sites are recertified to the International Organization for Standardization (ISO) 14001:2004 standard for environmental management. Our Buena Park, California facility is certified to the ISO 14001 standard for the first time. These certifications mean that our facilities demonstrate an environmental management system that reduces overall impacts like air emissions, hazardous waste generation, waste water and storm water discharges. OHSAS Certifications Our Ada, Michigan and Guangzhou, China facilities were certified to the Occupational Health and Safety Standards (OHSAS) 18001 for occupational health and safety. This standard demonstrates the Amway commitment to providing safe and healthy work environments for our employees.
Amway farmland in Lakeview, California
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Profiles – Cleaning Planet Positive LEGACY OF CLEAN™ IS PLANET POSITIVE – JUST ASK THE EPA Powerful for people, easy on the planet – that’s the thinking behind our Legacy of Clean™ home care line. Designed with the environment in mind, these conscientious cleaners do more with less water, less energy and less waste. And now they’re Planet Positive: With a renewed focus on the Amway safe and green heritage, which dates back to 1959 when our founders launched the industry’s first biodegradable cleaner L.O.C™, we revitalized our entire home care product line. To validate our work, we sought and earned third-party certification from the US Environmental Protection Agency’s (EPA) Design for the Environment (DfE) program: In North America, more than 35 Legacy of Clean products now carry the DfE seal of approval and we’re expanding globally. Why the EPA? The decision was easy. This prestigious organization is long recognized for its focus on human and environmental safety – alternative programs were neither as well-known nor supported by a government agency. Further, products earning the DfE logo are designed to help customers choose safer chemical cleaners that do not sacrifice quality or performance. Just like Legacy of Clean. Amway is committed to achieving and maintaining DfE partnership on all home care products through continuous improvement of our formulas. Positive news fitting to a better planet.
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Profiles – PRINTING FOREST FRIENDLY AMWAY PAPER PRODUCTS EARNS COVETED CERTIFICATIONS
©
Did you know that a tree makes just 16.67 reams of copy paper? Or that the average person worldwide uses 21 reams annually? Do the math: that’s 1.25 trees for each of us, every year. Figures like these motivated our Amway North America Paper Products division to secure the preeminent Forest Stewardship Council (FSC) stamp of approval on the Amway™ literature and packaging it produces. From processing to manufacturing to distribution, Amway developed and implemented procedures to meet the FSC’s Chain of Custody, documenting each step to ensure that materials carrying the FSC stamp are responsibly harvested from a certified managed forest. For every tree cut, saplings are planted so the forest’s biodiversity and ecology are sustained for generations to come. Further, our Paper Products division is certified by the Rainforest Alliance, an international nonprofit dedicated to the development and promotion of sustainable standards in farming, forestry and tourism. Rainforest Alliance standards protect the environment and promote the wellbeing of workers, their families and their communities. Amway also participates in the Sustainable Forestry Initiative, which trains loggers, foresters and family forest landowners in best management practices and landowner outreach programs.
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PROFILES – EXCEEDING ENERGY STANDARDS ENERGY REDUCTION EXCEEDS STANDARDS IN JAPAN Success in Sixty Days After confirming our overall portfolio of electricity usage, our Facility and Service Group strategized how to efficiently – and quickly – reduce power across Amway. And then we did just that.
On March 11, the coast of Sanriku was hit by a 9.0 earthquake, the largest in Japan’s history. This natural disaster spawned a huge tsunami, which caused catastrophic damage to the coastal area, most notably in the shut down of all electric power at the Fukushima Nuclear Power Plant of Tokyo Electric Power Company (Tepco). Loss of power meant loss of functioning of the nuclear reactor’s coolant system, allowing radioactive material to be released. Further, without nuclear power, Tepco was in danger of major blackouts. In response, the government requested that all Japanese citizens make a 15 percent reduction in their energy usage. As a corporate citizen and one of the region’s largest energy users, Amway would have been imposed with a penalty of one million yen per hour had we failed to meet this 15 percent reduction. Times of distress required drastic action, and Amway teams got to work.
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In just two months, Amway made significant strides. We replaced fluorescent lights with LED bulbs and changed the cold/hot water system to inverter control. We raised thermostat settings, thereby decreasing air conditioning use, and provided employees with handheld fans (with energy saving tips printed on them). Employees also charged PC batteries at night for daytime computer use, shared printers, took the stairs and turned off unnecessary lights. In making these small changes, Amway made a big difference: Electricity use fell well below the 827kw maximum set by the government, resulting in an impressive 29 percent reduction – nearly doubling expectations. Yet the effect of this initiative is larger still: It is likely that Amway savings amount will exceed the investment amount in about six years. And along with it, our employees’ understanding of the importance of energy savings.
Profile – Enhancing Product Design ATMOSPHERE™ REVAMPS AND ROLLS OUT IN CHINA We’re always innovating at Amway. Case in point: ATMOSPHERE™ Air Purifier. The 2011 redesign of this patented, popular home air purification system reduced greenhouse gas emissions over its life cycle by more than 74 percent, its energy use by 70 percent and its plastic content by eight percent. As part of our life cycle management approach to total product performance, we conducted a formal Life Cycle Assessment (LCA) to compare Atmosphere to the Amway Advanced Air Treatment System (AATS), a previous model. The LCA proved that Atmosphere solidly enhanced environmental performance. In addition to the above reductions, we improved clean air delivery rate and power efficiency, and all in a smaller unit. Currently sold in 14 countries and launching soon elsewhere, Atmosphere has earned 13 United States and 66 worldwide patents (granted and pending) for Amway. The redesign is part of our ongoing efforts to minimize the environmental impacts of our products and processes. Atmosphere answers a global need, too. As research continues to link indoor air quality to overall health, the demand for air purifiers grows. Amway experienced this first-hand in China. In true Amway form, we responded with a second Atmosphere manufacturing facility to meet Asian consumer demand while reducing both reduced shipping distances and lead times.
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Global Recognition 2011 Global Recognition and Awards When you’re in the business of helping people live better lives, you tend to get noticed. We humbly share these accolades with the more than three million distributors and 20,000 employees that comprise our Amway family across the world. With heartfelt thanks, we honor you.
Canada • Making a Difference Award, Direct Selling Association of Canada
China • China Charity Award, Ministry of Civil Affairs, People’s Republic China • China Children’s Charity Award, All-China Women’s Federation and China Children and Teenagers Fund • Most Responsible Corporation, China Business News and Red Cross Society of China
Croatia • Recognition Plaquette, UNICEF
Hong Kong
• Recognition Plaquette, Red Cross • Recognition Plaquette, UNICEF
Korea • Volunteer Award, Gangseo-gu Local Government • Good Neighbors 20th Anniversary Appreciation Certificate, Good Neighbors • Social Welfare Centers Forward Movement Appreciation Certificate, Korean Association of Social Welfare Centers • 18th Korea Volunteer Festival Participation Award, Korea Council of Volunteering
Mexico • Now Recycle Your Batteries Program, Municipality of Monterrey Over the Secretary of Urban Development and Ecology • Corporate Citizenship Best Practices Award NUTRILITETM Little Bits, Community Involvement Category, Mexican Center for Philanthropy • Socially Responsible Company Award, Mexican Center for Philanthropy
• Caring Company Logo, Hong Kong Council of Social Service
philippines
• Indoor Air Quality Certificate (Good Class), Indoor Air Quality Information Centre from Environmental Protection Department
Poland
• Hong Kong Corporate Citizenship Award – Outstanding Corporate Volunteer Team, Hong Kong Productivity Council • Hong Kong Corporate Citizenship Award – Award of Excellence in Service Category, Hong Kong Productivity Council • Wastewi$e Label, Hong Kong Awards for Environmental Excellence
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Hungary
Global Recognition Awards
• Adopt-A-School Partner, Department of Education • Gazelle of Business, The Pulse of Business, The Best Business Daily
Russia • Leaders of Corporate Charity, Best CSR Practices Ranking, 6th Place, NGO Donors’ Forum, Vedomosti Business Newspaper, PwC • Best eLearning Practice in Corporate Sector, eLearn Expo
Singapore • Platinum Award, Singapore Children’s Society • Trusted Brand Singapore Gold to Nutrilite™, Vitamins/Health Supplements Category, Reader’s Digest
Ukraine • Acknowledgement for Promotion of Healthy Lifestyle Among Youth, Mukachevo City Council • Acknowledgement for Improving the Environment, Cherkassy City Major • Acknowledgement for Responsible Attitude to Society and Contribution in Saving Children’s Lives, The Chestnut Run Charity Foundation
United States • Fit Friendly Platinum Award, American Heart Association
• Trusted Brand Singapore Gold to eSpring™, Water Purifier Category, Reader’s Digest
Taiwan • Gold Sports Mentors Award, The Sports Affairs Council of the Executive Yuan
Thailand • Outstanding Establishment for Achievement on Labor Relations and Welfare, Department of Labor Protection/Welfare, Ministry of Labor • Certification of Guidance on Social Responsibility, Ministry of Industry • #1 Trusted Brand in Direct Selling Business, Thailand’s Most Admired Brand & Why We Buy 2011, BrandAge Magazine • #7 Most Admired Company, Thaicoon Magazine
Global Recognition Awards
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